Congress Turns Focus on China
September 9, 2024

As Congress returns from recess, lawmakers are using this period to advance legislation to counter China’s growing influence and unfair trade practices. With the November elections and the year-end holidays fast approaching, Congress has limited time to take meaningful action.

The urgency surrounding China-related issues, especially for industries like domestic manufacturing of personal protective equipment (PPE) and medical supplies, where China’s trade behavior has caused significant harm, cannot be overstated.

A bipartisan approach is critical to addressing China’s actions, including unnaturally low pricing, forced labor, and systematic tariff evasion. As we’ve seen, Congress has already taken steps to address these issues, but pressure remains to relax tariffs, mainly as some sectors argue that the tariffs hurt American businesses. Congress must use this moment to signal to China that the U.S. will not disregard exploitative labor conditions and further weaken our manufacturing sector.

Congress is considering many bills this week. Several bills focus on containing China’s influence and illustrate the wide range of areas in which bipartisan cooperation is beneficial and essential.

The stakes go beyond individual industries. Speaker of the House Mike Johnson recently emphasized the importance of countering Chinese firms that provide material support to adversarial nations like Russia and Iran. His remarks underscore the broader geopolitical implications of China’s trade practices and how they harm American industries and undermine global security.

China has called for the immediate lifting of U.S. tariffs, but Congress must remain steadfast in its approach. AMMA has actively supported existing tariffs on medical supplies and PPE and those proposed by the White House in May of 2024.

The new tariffs announced by President Biden and under consideration by the US Trade Representative include:

– New tariff rates on syringes and needles will increase from 0% to 50% in 2024.

– Personal protective equipment (PPE), including certain respirators and face masks, will increase from 0–7.5% to 25% in 2024.

– Tariffs on rubber medical and surgical gloves will increase from 7.5% to 25% in 2026.

AMMA and others have supported these new tariffs and even called for their expansion. After a mandatory review, the USTR is expected to rule to put them into effect soon.

These new tariffs are a good start to defend American manufacturing, particularly in critical sectors like healthcare. By maintaining tariffs and strengthening domestic production, Congress can ensure that the U.S. is not overly reliant on foreign supply chains that could be disrupted in times of crisis.

As China becomes an even bigger legislative focus, it is more important than ever for Congress to work across party lines to advance these measures.

The potential consequences of failure to act could lead to further erosion of American manufacturing capabilities, leaving the U.S. vulnerable to supply chain disruptions and unfair competition. By maintaining a unified front, Congress can protect American jobs, uphold human rights standards, and ensure the U.S. is prepared to compete in a rapidly changing global economy.

We thank the entire leadership of the House of Representatives of both political parties for focusing their efforts on China’s impact on our economy. In addition, we thank the members of the Select Committee on the Chinese Communist Party who have worked tirelessly and in a bipartisan manner to ensure a level and competitive playing field by researching, exposing, and holding accountable the CCP for its anticompetitive actions.  We are thankful to each one of these champions of US business.

Bipartisan action on these issues is not just about addressing China; it’s about safeguarding the future of American industry and ensuring the resilience of the national supply chain. This imperative cannot be ignored for sectors like medical manufacturing, which are essential to public health.